The news, reported earlier by the Financial Times, comes on the heels of government subpoenas to Cohen and other SAC executives as part of the government’s investigation.

Cohen has not been accused of any wrongdoing.

To make a racketeering case, the feds would have to prove that SAC is an ongoing criminal enterprise with a pattern of racketeering activities, including securities fraud.

Such cases tend to be tougher to make than traditional white-collar cases, but the RICO laws can also bring “massive sanctions and other significant advantages on things like statute of limitations,” said Michael Bowe, a lawyer who went up against Cohen’s SAC in a separate case that has since been tossed.

A spokeswoman for the US Attorney would not comment on any part of their strategy.